The Ashram Matriculation School in Chennai, run by actor Rajinikanth's wife Latha was locked over non-payment of rent.
The owner of the school ground has said the rent came up to ₹10 crore, but he was paid only ₹2 crore.
The owner Venkateshvaralu stated that he locked the gates on Tuesday night, and he claims that the school ground was given for use in 2002. However, on 2013, he requested the management to leave the building as rents were not paid on time.
"14 months ago I filed a suit in the court seeking them to leave after paying rent which came upto Rs 10 crore. Their lawyer said that they cannot pay such a huge amount and instead paid only Rs 2 crore. After that, no money has been paid and Latha has not responded or signed the memo.
But, Venkateshvaralu also claimed that he took the decision to lock the premises as he was unable to pay the service tax which has become a burden for him now.
"The service tax per month comes upto Rs 60,000 and I paid it last quarter from my pocket and I can't do it again. Now I can tell the IT department that there is no tenant, and so I don't have to pay any tax", he said.
From Latha Rajinikanth's part, a statement was released which said "This is for the information of the general public - The management of The Ashram School requests the public not to believe in news being circulated regarding the school. Kindly wait for our official press release regarding the same".
As far as now Latha Rajinikanth is expected to go for an out of court settlement.